Zacks Research Issues Positive Outlook for CMC Earnings

Key Points

• Zacks Research has raised its Q3 2026 earnings per share estimate for Commercial Metals Company to $0.99, up from the previous forecast of $0.97.
• The company reported a net margin of 0.48% and a return on equity of 7.45%, with quarterly revenue down 2.8% compared to the same period last year.
• Commercial Metals has received multiple rating upgrades, with an average target price of $58.81 and a consensus rating of "Moderate Buy" from analysts.

Commercial Metals Company (NYSE:CMC - Free Report) - Equities research analysts at Zacks Research boosted their Q3 2026 earnings estimates for Commercial Metals in a research report issued on Thursday, August 14th. Zacks Research analyst S. Deb now anticipates that the basic materials company will post earnings per share of $0.99 for the quarter, up from their previous estimate of $0.97. The consensus estimate for Commercial Metals' current full-year earnings is $3.09 per share. Zacks Research also issued estimates for Commercial Metals' FY2026 earnings at $4.15 EPS, Q1 2027 earnings at $1.23 EPS, Q2 2027 earnings at $0.83 EPS, Q3 2027 earnings at $0.99 EPS and FY2027 earnings at $4.54 EPS.

Commercial Metals (NYSE:CMC - Get Free Report) last released its quarterly earnings data on Monday, June 23rd. The basic materials company reported $0.74 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.85 by ($0.11). Commercial Metals had a return on equity of 7.45% and a net margin of 0.48%. The firm had revenue of $2.02 billion for the quarter, compared to analyst estimates of $2.04 billion. During the same quarter in the previous year, the business posted $1.02 earnings per share. Commercial Metals's revenue for the quarter was down 2.8% on a year-over-year basis.

A number of other research analysts have also recently commented on the company. UBS Group restated a "neutral" rating and set a $56.00 price target (up from $48.00) on shares of Commercial Metals in a research note on Wednesday. JPMorgan Chase & Co. upped their price target on Commercial Metals from $52.00 to $54.00 and gave the stock a "neutral" rating in a research note on Monday, July 14th. Wolfe Research upgraded Commercial Metals from a "peer perform" rating to an "outperform" rating in a research note on Friday, June 20th. Morgan Stanley set a $57.50 price target on Commercial Metals in a research note on Wednesday, June 25th. Finally, BMO Capital Markets restated a "market perform" rating and issued a $55.00 price objective (down previously from $57.00) on shares of Commercial Metals in a report on Tuesday, June 24th. Five equities research analysts have rated the stock with a hold rating, three have given a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, Commercial Metals has an average rating of "Moderate Buy" and a consensus price target of $58.81.

Commercial Metals Trading Down 0.1%

Commercial Metals stock traded down $0.03 during midday trading on Friday, hitting $56.28. 178,538 shares of the stock were exchanged, compared to its average volume of 1,101,146. The stock's 50-day simple moving average is $51.66 and its 200 day simple moving average is $48.36. The stock has a market capitalization of $6.30 billion, a price-to-earnings ratio of 181.55, a PEG ratio of 2.60 and a beta of 1.28. Commercial Metals has a fifty-two week low of $37.92 and a fifty-two week high of $64.53. The company has a current ratio of 2.86, a quick ratio of 2.00 and a debt-to-equity ratio of 0.32.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in CMC. Norges Bank acquired a new position in Commercial Metals during the 2nd quarter worth approximately $70,402,000. Nuveen LLC acquired a new position in Commercial Metals during the 1st quarter worth approximately $44,345,000. Pacer Advisors Inc. grew its holdings in Commercial Metals by 4,372.6% during the 1st quarter. Pacer Advisors Inc. now owns 759,484 shares of the basic materials company's stock worth $34,944,000 after acquiring an additional 742,503 shares in the last quarter. American Century Companies Inc. boosted its holdings in shares of Commercial Metals by 86.1% in the 1st quarter. American Century Companies Inc. now owns 1,587,259 shares of the basic materials company's stock valued at $73,030,000 after buying an additional 734,265 shares in the last quarter. Finally, Encompass Capital Advisors LLC acquired a new position in shares of Commercial Metals in the 2nd quarter valued at $34,225,000. Institutional investors and hedge funds own 86.90% of the company's stock.

Commercial Metals Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, July 9th. Shareholders of record on Monday, June 30th were issued a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a yield of 1.3%. The ex-dividend date was Monday, June 30th. Commercial Metals's payout ratio is 232.26%.

About Commercial Metals

Commercial Metals Company manufactures, recycles, and fabricates steel and metal products, and related materials and services in the United States, Poland, China, and internationally. It operates through two segments, North America and Europe. The company processes and sells ferrous and nonferrous scrap metals to steel mills and foundries, aluminum sheet and ingot manufacturers, brass and bronze ingot makers, copper refineries and mills, secondary lead smelters, specialty steel mills, high temperature alloy manufacturers, and other consumers.